Structured investment products, including structured notes and principal protected notes, are products that are linked to other assets including securities, a series of securities, or a derivative that are linked to other assets. They are often advertised as safer investments offering higher yields than other more traditional investments. They often also entail higher commissions. Structured products, including principal protected and structured notes, can be hard to liquidate or sell because there is not much of a secondary market for the notes. In some cases, investors may be misled about the liquidity of structured products.
Principal Protected Notes
Some structured products are sold with guaranteed principal protection. This can be a very enticing feature for investors seeking a safer product, but it is not always guaranteed. For example, many who purchased the Lehman Principal Protected Notes suffered losses of principal after the company went bankrupt.
Misled into Purchasing a Structured Product?
If you feel that you were mislead into purchasing a structured product, including a structured note, principal protected note, or principal protection note, free and confidential consultations are available with our securities lawyers by filling out the form to your left or calling toll-free (866) 981-4800.
Gibbs Law Group encourages persons who know about possible securities violation to contact the firm. Under the SEC whistleblower laws promulgated under the Dodd-Frank Wall Street Reform and Consumer Protection Act, whistleblowers may be receive a reward of up to 30 percent of the recovery for information leading to a successful enforcement action by the SEC and are protected from employer retaliation. If you believe that you have information about a securities violation, please contact us at 866.981 4800 or by filling out the form at the right.